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Reports of CDM/JI Feasibility Studies: FY2009

Title of Feasibility Study (FS)CDM Project Study for Energy Utilization of Ammonia Plant Tail Gas in Syria
FYFY 2009
Main Implementing EntityShimizu Corporation
FS Partner(s)Ohsumi Co., Ltd., and Climate Experts PLC.
Location of Project ActivitySyria (Homs City)
Summary of FS ReportPDF (110KB)
Description of Project ActivityThe project is to be implemented in an ammonia manufacturing plant located within a general chemical fertilizer company (GFC) in Homs, the third largest city in Syria. It is a CDM project that aims to utilize purge gases (exhaust gas: CH4=12%, H2=60%, plus nitrogen, ammonia and argon, etc., but not including harmful substances) as an alternative fuel in the plant boiler, which currently uses natural gas as fuel.
Targeted GHGCO2, and CH4
Category of Project ActivityOthers (Waste Gas Utilisation)
Duration of Project Activity/ Crediting Period2010-2021/ 2011-2021
Methodology to be appliedNew Methodology (NM0321)
Baseline ScenarioThe physical project boundary in the proposed new methodology is "The area of GFC where purge gas is recovered and used as boiler fuel". In the project, it is planned to recover purge gas in the ammonia plant and to install a new multi-fuel fired boiler next to the two existing natural gas fired boilers. Therefore, the project boundary is limited to this area.
It is expected that the baseline scenario will be maintenance of the status quo.
Demonstration of AdditionalityThe baseline scenario will basically be demonstrated through grasping how things have actually been within GFC from the past to present and presenting reasons and evidence to support this.
Regarding existence of barriers, evidence will be collected and a chronological table will be compiled with a view to tracking the decision making by the GFC. Concerning actual proof, a number of baseline scenarios different from maintenance of the status quo will be presented and the most likely one (in the case where the CDM project is not implemented) will be selected as the baseline scenario. In this case, the project will be divided into two major components, and the separate scenarios (combinations) will be examined within these. This can demonstrate that maintenance of the status quo is the baseline scenario and that the project is additional.
Estimation of GHG Emission Reductions85,250tCO2 on average per year
Monitoring PlanThrough monitoring the amount of methane included in the purge gas used in the project activities and the heating value obtained through combusting this methane gas in the boilers, the greenhouse gas emissions reductions comprising destroyed methane and substituted fuel will be calculated.
Environmental Impact AnalysisThe project will have a beneficial impact on the environment because it will effectively utilize methane gas that is currently discharged into the atmosphere and also will reduce the quantity of fuel consumption. Moreover, examination is being given to simultaneously introducing equipment for recovering ammonia contained in the purge gas, and this will also have a beneficial environmental impact.
Project FeasibilityIn the project, it is expected to secure CERs from 2011 and, providing that the price of CERs is 10US$/tCO2 or more, the project should be economically viable.
However, it will be necessary to obtain approval from the United Nations for new methodology in the project. Since clerical procedures starting from application for registration are extremely conservative in the United Nations, there is concern that this could hold up the project implementation schedule. It is hoped that United Nations procedures are speeded up in the aftermath of COP15.
Pollutants Emissions ReductionThe project site of GFC is one of the sources of atmospheric pollution in Homs City. Moreover, the purge gas targeted by the project contains ammonia which is harmful to human health, and the treatment of this is needed from the viewpoint of pollution prevention.
Since it can be assumed that emissions of ammonia during project implementation will be zero, it is estimated that the atmospheric discharge of approximately 1,300 tons of ammonia will be circumvented every year.
Contribution to Sustainable Development in Host CountryIn Syria, as in other developing countries, growing demand for energy such as electricity and gasoline, etc. has become a major issue, and the impact of recent inflation in fossil fuel prices has extended to GFC.
For the agricultural country of Syria, GFC is the only chemical fertilizer plant in the country and since the limitation of fertilizer prices is an important thing in terms of farm policy, the effective utilization of purge gas (a clean energy) will not only help mitigate air pollution and aid energy saving, but it will also contribute to the sustainable development needs of Syria through stabilizing fertilizer prices and thus stabilizing civil lifestyles.
Moreover, since Syria has relatively fewer energy resources than other countries in the Middle East, promotion of energy saving including the use of renewable energy is a highly important issue, and this project, which proposes to utilize purge gas that could not previously be used for technical reasons, can also contribute to sustainable development from the viewpoint of technology transfer from an advanced nation.

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